Tree of Eden

Facebook revenue to be billions in 5 years: board member | Small Business | Reuters

Posted in Uncategorized by T.Salami on July 7, 2009

Do you use facebook? if so do you think they ought to share profits facebook makes?

SAN FRANCISCO (Reuters) – Facebook will likely be posting billions of dollars in revenue in five years, up from about $500 million this year, according to Silicon Valley entrepreneur Mark Andreessen who sits on Facebook’s board.

Andreessen told Reuters that the world’s most popular online social network could pile up $1 billion in revenue this year if it pushed harder on selling advertising.

But he added that it was more important at this stage for social sites like Facebook and Twitter to retain and grow their user base and capture market share, rather than worry too much about making lots of money right away.

“This calendar year they’ll do over $500 million,” Andreessen said in an interview, noting that Facebook has more than 225 million users, so revenue per user is still small.

“If they pushed the throttle forward on monetization they would be doing more than a billion this year,” said Andreessen, who made the cover of Time Magazine as founder of the world’s first Web browser company, Netscape.

Privately held Facebook — which counts venture capitalist Peter Thiel, Accel Partners, Microsoft Corp and Russian Internet investment firm Digital Sky Technologies among its investors — has never disclosed its revenue except to say it expects 70 percent growth this year.

“There’s every reason to expect in my view that the thing can be doing billions in revenue five years from now,” Andreessen said.

via Facebook revenue to be billions in 5 years: board member | Small Business | Reuters .

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